Furthermore being profitable, is also measured by an increasing trend of profitability. Firms that exhibit a growing trend. Of profits are more likely to achieve higher future returns. Even if the firms have negative ROA (losses) in the previous. Fiscal period but if, they show an improving trend they are, potentially more likely to be profitable in the future, Therefore,. A binary score for Δ ROA (B Δ ROA) equals 1 if a Δ ROA, is positive 0 otherwise. CFROA is defined as a firm s cash flows from. ' Operations divided by total assets. Since analysts generally use operating cash flows to predict firm ', s financial position. In addition, to earnings a binary score for CFROA (bCFROA) equals 1 if a firm 's CFROA is greater than industry-median CFROA. And 0 otherwise.
การแปล กรุณารอสักครู่..
